Study Period | 2017 - 2030 |
Base Year For Estimation | 2024 |
Forecast Data Period | 2025 - 2030 |
Market Size (2025) | USD 153.9 Billion |
Market Size (2030) | USD 236.3 Billion |
CAGR (2025 - 2030) | 8.95 % |
Market Concentration | Low |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
India Road Freight Transport Market Analysis
The India Road Freight Transport Market size is estimated at 153.9 billion USD in 2025, and is expected to reach 236.3 billion USD by 2030, growing at a CAGR of 8.95% during the forecast period (2025-2030).
India's road transport sector in India has witnessed significant infrastructure development, with the national highway network expanding to 145,155 km by March 2023. The Ministry of Road Transport and Highways has demonstrated continued commitment to infrastructure enhancement by announcing four major road and transportation projects worth USD 227.85 million in March 2024, spanning Karnataka, Madhya Pradesh, Gujarat, and Assam. The government's emphasis on infrastructure development is further evidenced by an 11.1% increase in infrastructure allocation in the 2024 interim budget. These developments are complemented by private sector investments, as demonstrated by DHL Express's announcement to invest EUR 200 million in India over the next five years until 2029.
The transport industry is experiencing significant operational changes and cost dynamics. In 2022, trucking operational costs surged by approximately 40%, primarily driven by fuel price fluctuations and increased maintenance expenses. The National Highway Authority of India (NHAI) implemented a toll fee hike of up to 7% nationwide from April 2023, further impacting operational costs. Despite these challenges, the industry has shown resilience through technological adoption and efficiency improvements, with many companies transitioning towards more fuel-efficient vehicles and exploring alternative fuel options.
The government's PM Gati Shakti initiative has emerged as a cornerstone for enhancing multimodal connectivity and logistics efficiency. This comprehensive National Master Plan aims to break departmental silos and institutionalize holistic planning for stakeholders. The initiative has facilitated better coordination among different departments, resulting in more efficient project implementation and reduced logistics costs. The focus on integrated planning has led to improved first and last-mile connectivity, benefiting both urban and rural freight movement.
India has surpassed China to become the world's second-largest holder of road networks after the United States, achieving this milestone through strategic infrastructure development. The National Highways Authority of India (NHAI) completed 10,331 km of National Highways in 2022-23, demonstrating significant progress despite falling short of the 12,500 km target. The government's commitment to infrastructure development is further reinforced through various initiatives aimed at improving connectivity between port gateways on the eastern and western coasts with key economic hubs in the interior regions, supporting the broader objective of enhancing logistics efficiency and reducing transportation costs.
India Road Freight Transport Market Trends
Government and private investments, rising exports, and the increasing interstate movement of goods are the major drivers of the transportation industry
- In 2024, the government is dedicated to reducing logistics costs to 5-6%. Indian Railways is taking steps to boost freight capacity, increase the speed of freight trains, lower freight expenses, establish dedicated freight corridors, improve last-mile connectivity between railheads, roads, and ports. They're aligning with PM Gati Shakti, granting industry status to logistics, promoting digital solutions, and developing logistics infrastructure. These efforts aim to cut costs and spur GDP growth in logistics.
- The sector is expected to grow till 2027 and is expected to add 10 million jobs by 2027. India is aiming to become a global hub for manufacturing and logistics, with recent policies attracting around USD 10 billion USD in investments for the warehousing and logistics sector. Also India's infrastructure plans for 2024, such as the Mumbai Trans Harbour Link (MTHL), Navi Mumbai International Airport, Noida International Airport and Western Dedicated Freight Corridor etc, are expected to accelerate India's journey towards becoming a prominent player in the global logistics landscape.
The diesel price increase was less sharp than the increase in petrol prices due to VAT cuts offered by several state governments
- In September 2023, oil prices hit a 10-month high of USD 90 per barrel as Saudi Arabia and Russia extended their voluntary production and export cuts till 2023. As India imports 85% of its oil, the fuel prices were impacted. According to the All-India Motor Transport Congress, which represents 14 million truckers and vehicle operators, the soaring fuel prices are impacting India's truckers as they have limited ability to pass on the rising prices, which account for 70% of the cost of operating a truck.
- The Indian government is contemplating reducing petrol and diesel prices by INR 4 - INR 6 (USD 0.04 - USD 0.07) per litre in 2024, timed with the upcoming Lok Sabha elections in H1 2024. Discussion in ongoing with Oil Marketing Companies to share the burden of this reduction equally, and there's a possibility of a more substantial cut of up to Rs 10 (USD 0.12) per litre. This move aims to alleviate the financial strain on the public and could also help lower retail inflation, which peaked at 5.55% in November 2023.
OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- Indian automotive industry aims to quintuple its vehicle exports by 2026
- The Indian e-commerce market is expected to become the second-largest worldwide by 2034
- India's rank rose six places to 38 in LPI 2023, fueled by strategic policies and infrastructure advancements
- India's export target for goods and services is anticipated to reach USD 2 trillion by 2030
- Surge in truck freight rates in metros in early 2024 due to regulatory changes and supply chain issues
- The Indian government’s budget allocation worth USD 631 million is driving initiatives to subsidize and promote the adoption of electric vehicles
- Inflation coupled with increasing fuel and input costs driving road freight rate increases
- Economic and supply shocks from the Ukraine-Russia War disrupted supply chains leading to an increase in costs
- Growing construction and agricultural goods demand supported by growing population and investments
- The manufacturing industry of India is expected to reach USD 1 trillion by 2025
- India emerged as the second-largest global road network holder, surpassing China, and it achieved 1.45-lakh km expansion over 8 years
- Natural gas imports in India might double by 2030 amid rising domestic demand
- Rising product launches owing to BS-VI emission standards are increasing the sales of commercial vehicles
- Road freight volume in India to grow with the upcoming High-Speed Corridor Network by 2047
- Land transportation contributed more than 90% of freight transportation in 2022, supported by increased government investment and foreign FDI
Segment Analysis: End User Industry
Wholesale and Retail Trade Segment in India Road Freight Transport Market
The wholesale and retail trade segment dominates the Indian road freight transport market, commanding approximately 48% market share in 2024. This significant market position is driven by the expanding middle-class population and increased consumption of retail products across urban India. The sector has emerged as one of the most dynamic industries due to the entry of several new players and the rapid growth of e-commerce. The e-commerce sector has become a major growth driver, with India having the third-highest number of e-retail shoppers globally, only behind China and the United States. New-age logistics players are expected to deliver 2.5 billion Direct-to-Consumer (D2C) shipments by 2030, while online shoppers in India are projected to reach 500 million by the same year. The retail industry's projected growth to USD 2 trillion by 2032 further strengthens this segment's position in the road freight transport market.

Manufacturing Segment in India Road Freight Transport Market
The manufacturing segment is experiencing rapid growth in the Indian road freight transport market, driven by ambitious government initiatives and increasing production capabilities. The segment's growth is supported by various programs and policies aimed at ensuring that 25% of the total economy's production comes from manufacturing by 2025. India's position as a preferred hub for foreign investments in manufacturing is strengthening, with many leading brands in mobile phone, luxury, and automotive sectors establishing or planning to set up their manufacturing plants in the country. The government's Production Linked Incentive (PLI) scheme has attracted significant investments, positioning India to become a major manufacturing hub globally. The manufacturing sector's expansion is further supported by robust export growth and increasing domestic demand across various industries including automobiles, electronics, and consumer goods.
Remaining Segments in End User Industry
The other segments in the Indian road freight transport market include agriculture, fishing, and forestry; construction; oil and gas, mining and quarrying; and other miscellaneous industries. The agriculture sector continues to be a crucial contributor, supported by government initiatives for creating reliable and connected agri-logistics networks. The construction segment benefits from large-scale infrastructure development projects and increasing urbanization. The oil and gas, mining, and quarrying segment is driven by rising energy demand and expanding industrial activities. These segments collectively play a vital role in shaping the overall market dynamics, with each contributing uniquely to the growth of road freight transport services based on their specific industry requirements and operational patterns.
Segment Analysis: Destination
Domestic Segment in India Road Freight Transport Market
The domestic segment dominates India's road freight transport market, accounting for approximately 70% of the total market value in 2024. This significant market share is driven by the robust growth in urbanization, population increase, rising e-commerce activities, and increasing income levels that have heightened the demand for goods and services within the country. The inter-city road transportation logistics expenditure accounts for around 87% of total road logistics expenditure, with the on-demand/spot freight transport accounting for 63% of the total spend, while the contract market represents the remaining 37%. Major key industries driving the domestic segment include defense, PSUs, agriculture, food and FMCG, and building materials industries. Additionally, metros contribute significantly, accounting for about 40% of the total inter-city logistics spend.
International Segment in India Road Freight Transport Market
The international segment is projected to witness substantial growth at approximately 12% during 2024-2029, driven by increasing cross-border trade activities and infrastructure development. India's connectivity projects with neighboring countries like Bhutan, Bangladesh, Nepal, and Myanmar have been accelerated, with several infrastructure projects along the Line of Actual Control (LAC) and border connectivity efforts under development. The growth is further supported by the rising cross-border e-commerce activities, which are anticipated to play a crucial role in helping achieve India's USD 1 trillion export vision. The government's focus on developing integrated check points (ICPs) along the border and improving cross-border infrastructure is expected to enhance international road freight movement efficiency.
Segment Analysis: Truckload Specification
Full-Truck-Load (FTL) Segment in Road Freight Transport Market
The Full-Truck-Load (FTL) segment dominates India's road freight transport market, commanding approximately 81% of the total market value in 2024. Heavy and medium duty trucks carry out the majority of FTL transportation, accounting for nearly 76% and 21% of the road freight demand respectively. The segment's strong performance is driven by increasing infrastructure development projects across India, with the government planning significant investments in national highway projects. The adoption of zero-emission trucks (ZETs) is gaining momentum in this segment, with Telangana endorsing 100% of new truck sales to be zero-emission vehicles by 2040. Additionally, Maharashtra's EV policy has established targets to make four key highways fully EV-ready by 2025, further supporting the segment's growth. The FTL segment continues to benefit from the expansion of manufacturing facilities, growing e-commerce operations, and increasing interstate movement of goods across India.
Less-than-Truck-Load (LTL) Segment in Road Freight Transport Market
The Less-than-Truck-Load (LTL) segment is experiencing rapid growth in India's road freight transport market, with a projected growth rate of approximately 10% during 2024-2029. This accelerated growth is primarily driven by the expanding e-commerce sector and increasing demand for small-scale shipments. Small fleet operators, who dominate the domestic LTL freight market and own about 5-25 trucks, are driving 85% of India's logistics needs in this segment. The segment is witnessing significant technological advancement with companies like BlackBuck deploying resources across 150,000+ villages in India to build awareness and support truckers in digital transactions. The implementation of Multi-Modal Logistics Parks (MMLP) policy is further boosting the segment's efficiency, with facilities like the Jogighopa hub in Assam serving as distribution centers for regional states and facilitating cross-border trade with neighboring countries. The government's focus on developing an interconnected transport network and improving last-mile delivery capabilities is expected to further accelerate the segment's growth trajectory.
Segment Analysis: Containerization
Non-Containerized Segment in India Road Freight Transport Market
The non-containerized segment dominates India's road freight transport market, commanding approximately 87% of the total market value in 2024. This substantial market share is primarily driven by the increasing production of commercial vehicles, with over 1 million commercial vehicles produced in India in 2023. The segment's dominance is further strengthened by the government's initiatives to modernize the trucking fleet, including the transition to BS-VI emission standards and revised axle load norms. The adoption of electric vehicles and alternative fuels like LNG is gaining momentum in this segment, with companies like GreenLine planning to add 1,500 LNG trucks to its fleet. The segment's growth is also supported by the increasing focus on environmental emission standards and the rising volumes of trade across the country. Major players like Tata Motors and Ashok Leyland continue to dominate the commercial vehicle market, collectively holding over 80% market share in the medium and heavy commercial trucks segment.
Containerized Segment in India Road Freight Transport Market
The containerized segment is emerging as the fastest-growing segment in India's road freight transport market, projected to grow at approximately 10% during 2024-2029. This growth is being driven by several factors, including improved container availability and declining ocean freight logistics rates, which have fallen by up to 15% in India. The segment is witnessing significant developments in container handling infrastructure, with major ports experiencing increased inbound container traffic. The Container Availability Index (CAx) data for key ports like Nhava Sheva, Mundra, and Chennai indicates a substantial rise in container movements. The growth is further supported by government initiatives to develop multi-modal logistics parks and improve port connectivity. The segment is also benefiting from the increasing adoption of containerized transportation for various goods, particularly in cross-border trade with neighboring countries. The implementation of digital solutions and tracking systems for containerized cargo is enhancing operational efficiency and attracting more businesses to opt for containerized transportation.
Segment Analysis: Distance
Long Haul Segment in India Road Freight Transport Market
The long haul segment dominates the Indian road freight transport market, commanding approximately 75% market share in 2024, driven by increasing demand for commercial vehicles and robust infrastructure development. Major players like Tata Motors and Ashok Leyland control over 80% of the medium and heavy commercial trucks market, with Tata Motors holding about 51% market share and Ashok Leyland accounting for 31% in the first half of 2023. The segment has witnessed significant technological advancements, particularly in fuel efficiency improvements through enhanced engine and tire technologies. The adoption of alternative fuels has gained momentum, with LNG emerging as a practical substitute for traditional fuels due to its superior energy density of 12,950 kcal/kg compared to diesel's 10,900 kcal/kg. Furthermore, LNG trucks offer better fuel efficiency along with lower maintenance and operational costs, making them increasingly attractive for long-distance transportation. The government's emphasis on improving fuel economy standards for medium and heavy-duty commercial vehicles has also contributed to the segment's growth, while various infrastructure development initiatives continue to strengthen the long-haul transportation network across the country.
Short Haul Segment in India Road Freight Transport Market
The short haul segment in India's road freight transport market has emerged as a crucial component of the logistics landscape, particularly driven by the rapid growth of e-commerce and urban delivery requirements. The segment has witnessed substantial investments in electric vehicle technology, with the electric vehicle industry attracting significant funding for developing sustainable short-haul transportation solutions. The Indian e-commerce market's projected growth to USD 120 billion by 2026 from USD 38 billion in 2021 is creating increased opportunities for short-haul transportation services. The segment has seen notable developments in July 2023, when 15 prominent companies collaborated under the Zero Emission Vehicles Emerging Markets Initiative (ZEV-EMI) and the Indian government's E-FAST initiative to advance truck electrification. These companies have projected demand for more than 5,000 electric trucks by 2027 and around 7,700 by 2030, demonstrating the segment's commitment to sustainable transportation solutions. The inter-city road logistics spending, which accounts for about 87% of total road logistics spending, has created significant opportunities for short-haul transportation services, with the on-demand/spot market representing 63% of the total spend and the contract market accounting for the remaining 37%.
Segment Analysis: Goods Configuration
Solid Goods Segment in India Road Freight Transport Market
The solid goods segment continues to dominate India's road freight transport market, commanding approximately 73% of the total market value in 2024. This substantial market share is primarily driven by the robust growth in manufacturing and retail sectors across India. The segment's strength is particularly evident in the transportation of machinery, automotive parts, construction materials, and consumer goods. With rising volumes of trade and increasing focus on environmental emission standards, the adoption of electric vehicles is increasing within this segment. The penetration rate of electric light commercial vehicles is expected to reach 27% across the country by 2030, significantly impacting the solid goods transportation landscape. Major players like Tata Motors and Ashok Leyland are dominating the commercial vehicle market, collectively holding over 80% market share, thereby ensuring efficient transportation of solid goods across the country. The segment's growth is further supported by government initiatives to improve road infrastructure and the implementation of advanced technologies for better fleet management and operational efficiency.
Fluid Goods Segment in India Road Freight Transport Market
The fluid goods segment is emerging as the fastest-growing segment in India's road freight transport market, projected to grow at approximately 10% annually from 2024 to 2029. This remarkable growth is primarily driven by the expanding oil and gas sector, with India's oil demand projected to grow at a faster rate than the total demand of all major economies in the world by 2030. The segment is witnessing significant technological advancements, particularly in terms of safety and monitoring systems. The Ministry of Road Transport and Highways has mandated that vehicles carrying dangerous or hazardous goods must be fitted with vehicle tracking systems, enhancing the safety and efficiency of fluid transportation. The segment is also experiencing a transformation with the introduction of LNG-powered vehicles, which offer better fuel efficiency compared to traditional diesel trucks. Companies like GreenLine are leading this transition by expanding their LNG truck fleet, demonstrating the industry's commitment to more sustainable and efficient fluid transportation solutions. The segment's growth is further supported by increasing investments in infrastructure development and the implementation of stringent safety regulations for hazardous goods transportation.
Segment Analysis: Temperature Control
Non-Temperature Controlled Segment in India Road Freight Transport Market
The non-temperature controlled segment dominates India's road freight transport market, commanding approximately 94% of the total market value in 2024. This substantial market share is primarily driven by the increasing adoption of electric and LNG trucks in the sector, as companies actively transition their operational fleets to more sustainable options. For instance, GreenLine, a provider of green mobility solutions, has announced plans to expand its fleet with 1,500 LNG trucks by 2024, highlighting the segment's commitment to operational efficiency and environmental sustainability. The segment's dominance is further reinforced by the robust commercial vehicle production in India, which exceeded 1 million units in 2023. The market has shown remarkable resilience despite various challenges, with major players like Tata Motors maintaining a significant market share of over 42% in the commercial vehicle segment. The government's emphasis on making truck cabins more employee-friendly, with proposals for mandatory air-conditioning by 2025, is expected to enhance operational efficiency and driver comfort, albeit with a marginal increase in vehicle purchase costs.
Temperature Controlled Segment in India Road Freight Transport Market
The temperature controlled segment is emerging as the fastest-growing segment in India's road freight transport market, with projections indicating robust growth through 2024-2029. This growth is primarily driven by the expanding pharmaceutical market, which is expected to reach USD 120 billion by 2030. The segment's expansion is further supported by initiatives from companies like Celcius Logistics, which has launched hyper-local, temperature-controlled delivery services across nine major cities including Mumbai, Delhi, and Bangalore. The market is witnessing significant technological advancements in cold chain infrastructure, addressing the critical challenge of food losses, which currently amount to approximately USD 14 billion due to inefficiencies in the cold supply chain. These losses are primarily attributed to lapses in maintaining optimum temperatures, non-refrigerated vehicles in transit, lack of tracking technology, and handling by untrained drivers. The segment is seeing increased investment in specialized equipment and training programs to enhance operational efficiency and reduce wastage, particularly in pharmaceutical and perishable goods transportation.
India Road Freight Transport Industry Overview
Top Companies in India Road Freight Transport Market
The leading companies in India's road freight transport market are actively pursuing innovation and expansion strategies to strengthen their market positions. Companies are making significant investments in electric and alternative fuel vehicles, with many major players committing to fleet electrification and sustainable transport solutions. Operational agility is being enhanced through digital transformation initiatives, with companies implementing advanced tracking systems, automated booking platforms, and AI-powered logistics solutions. Strategic partnerships and collaborations are becoming increasingly common, particularly in areas of technology adoption and cross-border operations. Companies are also focusing on expanding their geographical presence through new branch openings, warehouse establishments, and strategic acquisitions, while simultaneously developing specialized road freight services for different industry verticals.
Market Dominated by Local Logistics Specialists
The Indian road freight transport market exhibits a fragmented structure with a mix of established national players and regional operators. Local logistics specialists hold significant market share, leveraging their deep understanding of regional markets and established networks. While global logistics companies maintain a presence in the market, they primarily focus on international freight corridors and specialized logistics solutions. The market has witnessed increased consolidation through strategic acquisitions and partnerships, particularly among mid-sized players looking to expand their service portfolios and geographical reach.
The competitive dynamics are characterized by the presence of both traditional logistics companies and new-age technology-driven players. Traditional players are leveraging their extensive infrastructure and established customer relationships, while newer entrants are disrupting the market with digital-first approaches and innovative business models. The market has seen several successful mergers and acquisitions, particularly in areas of technology integration and regional market expansion, as companies seek to build comprehensive end-to-end logistics capabilities. The size of the freight forwarding market in India is also influenced by these dynamics, as companies aim to optimize their operations and expand their reach.
Digital Innovation Key to Future Success
Success in the Indian road freight transport market increasingly depends on companies' ability to embrace technological innovation and operational efficiency. Market leaders are investing heavily in digital transformation, including the implementation of advanced fleet management systems, real-time tracking capabilities, and automated booking platforms. Companies focusing on specialized services for specific industry verticals are gaining competitive advantages through deep sector expertise and customized solutions. The ability to provide integrated logistics solutions, including warehousing and last-mile delivery, is becoming increasingly important for maintaining market share.
Future growth opportunities lie in developing sustainable transport solutions and expanding into underserved markets. Companies need to focus on building robust networks in tier-2 and tier-3 cities while maintaining strong positions in major logistics corridors. The regulatory environment is evolving towards greater emphasis on sustainability and safety standards, requiring companies to adapt their operations accordingly. Success will also depend on companies' ability to manage relationships with multiple stakeholders, including customers, suppliers, and regulatory authorities, while maintaining cost efficiency and service quality in an increasingly competitive market. As road transporters continue to innovate, they are poised to capture significant opportunities in the evolving landscape of transport services in India.
India Road Freight Transport Market Leaders
-
CJ Darcl
-
CJ Darcl Logistics Limited
-
Delhivery Ltd.
-
Mahindra Logistics Ltd.
-
VRL Logistics Ltd.
- *Disclaimer: Major Players sorted in no particular order
India Road Freight Transport Market News
- July 2024: DHL Express introduced a range of digital tools aimed at empowering small and medium enterprises (SMEs) to broaden their global reach and enhance their international trade and shipping endeavors. These tools were designed to assist resource-limited SMEs in efficiently navigating cross-border shipping logistics, facilitating smoother import and export activities from diverse sources and locations. Among the suite of digital solutions crafted by DHL Express were My Global Trade Services (myGTS), DHL Express Commerce, Track & Trace, DHL Pass, and On Demand Delivery. In addition to digital tools, DHL Express also introduced the GoTrade program, which supports small businesses in trading their goods internationally.
- March 2024: DHL Express inaugurated its first Automated Shipment Sorting Hub in New Delhi. This expansion significantly amplified the capacity of the DHL Express Delhi Gateway, boosting it nearly sixfold compared to its capacity at inception two decades prior. Covering an area of 34,256 sft, the new sorting hub boasted automatic sorting machines with a capacity to sort 2,000 pieces hourly, achieving an impressive 30% surge in productivity. With 18 sorting chutes, 11 truck docks, and eight telescopic conveyors, the hub accelerated the processing of inbound shipments, thereby enhancing transit times for customers.
- March 2024: Transindia Real Estate Limited, a subsidiary of the Allcargo Group, signed an agreement to sell its logistics park located in Jhajjar, Haryana, with an enterprise value of approximately INR 636.71 crore (USD 76.41 million). Additionally, the company sold its 10% stake in several entities, including Malur Logistics & Industrial Parks, Venkatapura Logistics and Industrial Parks, Kalina Warehousing, Panvel Warehousing, and Allcargo Logistics & Industrial Park, garnering an equity consideration of nearly INR 4.55 crore (USD 54.6 million). The buyer of these stakes was Blackstone, a global investment firm.
Free With This Report
We provide a complimentary and exhaustive set of data points on global and regional metrics that present the fundamental structure of the industry. Presented in the form of 60+ free charts, the section covers difficult to find data on various regions pertaining to e-commerce industry trends, economic contribution of the transportation & storage sector, export and import trends among other key indicators.
India Road Freight Transport Market Report - Table of Contents
1. EXECUTIVE SUMMARY & KEY FINDINGS
2. REPORT OFFERS
3. INTRODUCTION
- 3.1 Study Assumptions & Market Definition
- 3.2 Scope of the Study
- 3.3 Research Methodology
4. KEY INDUSTRY TRENDS
- 4.1 GDP Distribution By Economic Activity
- 4.2 GDP Growth By Economic Activity
-
4.3 Economic Performance And Profile
- 4.3.1 Trends in E-Commerce Industry
- 4.3.2 Trends in Manufacturing Industry
- 4.4 Transport And Storage Sector GDP
- 4.5 Logistics Performance
- 4.6 Length Of Roads
- 4.7 Export Trends
- 4.8 Import Trends
- 4.9 Fuel Pricing Trends
- 4.10 Trucking Operational Costs
- 4.11 Trucking Fleet Size By Type
- 4.12 Major Truck Suppliers
- 4.13 Road Freight Tonnage Trends
- 4.14 Road Freight Pricing Trends
- 4.15 Modal Share
- 4.16 Inflation
- 4.17 Regulatory Framework
- 4.18 Value Chain & Distribution Channel Analysis
5. MARKET SEGMENTATION (includes market size in Value in USD, Forecasts up to 2030 and analysis of growth prospects)
-
5.1 End User Industry
- 5.1.1 Agriculture, Fishing, and Forestry
- 5.1.2 Construction
- 5.1.3 Manufacturing
- 5.1.4 Oil and Gas, Mining and Quarrying
- 5.1.5 Wholesale and Retail Trade
- 5.1.6 Others
-
5.2 Destination
- 5.2.1 Domestic
- 5.2.2 International
-
5.3 Truckload Specification
- 5.3.1 Full-Truck-Load (FTL)
- 5.3.2 Less than-Truck-Load (LTL)
-
5.4 Containerization
- 5.4.1 Containerized
- 5.4.2 Non-Containerized
-
5.5 Distance
- 5.5.1 Long Haul
- 5.5.2 Short Haul
-
5.6 Goods Configuration
- 5.6.1 Fluid Goods
- 5.6.2 Solid Goods
-
5.7 Temperature Control
- 5.7.1 Non-Temperature Controlled
- 5.7.2 Temperature Controlled
6. COMPETITIVE LANDSCAPE
- 6.1 Key Strategic Moves
- 6.2 Market Share Analysis
- 6.3 Company Landscape
-
6.4 Company Profiles
- 6.4.1 A.P. Moller - Maersk
- 6.4.2 Allcargo Logistics Ltd. (including Gati Express)
- 6.4.3 CJ Darcl
- 6.4.4 CJ Darcl Logistics Limited
- 6.4.5 Delhivery Ltd.
- 6.4.6 DHL Group
- 6.4.7 Expeditors International of Washington, Inc.
- 6.4.8 GEODIS
- 6.4.9 Mahindra Logistics Ltd.
- 6.4.10 Nippon Express Holdings
- 6.4.11 Transport Corporation of India Ltd. (TCI)
- 6.4.12 V-TRANS
- 6.4.13 Varuna Group
- 6.4.14 VRL Logistics Ltd.
- *List Not Exhaustive
7. KEY STRATEGIC QUESTIONS FOR ROAD FREIGHT CEOS
8. APPENDIX
-
8.1 Global Logistics Market Overview
- 8.1.1 Overview
- 8.1.2 Porter’s Five Forces Framework
- 8.1.3 Global Value Chain Analysis
- 8.1.4 Market Dynamics (Market Drivers, Restraints & Opportunities)
- 8.2 Sources & References
- 8.3 List of Tables & Figures
- 8.4 Primary Insights
- 8.5 Data Pack
- 8.6 Glossary of Terms
- 8.7 Currency Exchange Rate
List of Tables & Figures
- Figure 1:
- DISTRIBUTION OF GROSS DOMESTIC PRODUCT (GDP) BY ECONOMIC ACTIVITY, SHARE %, INDIA, 2022
- Figure 2:
- GROWTH OF GROSS DOMESTIC PRODUCT (GDP) BY ECONOMIC ACTIVITY, CAGR %, INDIA, 2016-2021
- Figure 3:
- GROSS MERCHANDISE VALUE (GMV) OF E-COMMERCE INDUSTRY, USD, INDIA, 2017 - 2027
- Figure 4:
- SECTORAL SHARE IN E-COMMERCE INDUSTRY GROSS MERCHANDISE VALUE (GMV), SHARE %, INDIA, 2022
- Figure 5:
- GROSS VALUE ADDED (GVA) OF MANUFACTURING INDUSTRY (IN CURRENT PRICES), USD, INDIA, 2017 - 2022
- Figure 6:
- SECTORAL SHARE IN GROSS VALUE ADDED (GVA) OF MANUFACTURING INDUSTRY, SHARE %, INDIA, 2022
- Figure 7:
- VALUE OF TRANSPORT AND STORAGE SECTOR GROSS DOMESTIC PRODUCT (GDP), USD, INDIA, 2017 - 2022
- Figure 8:
- TRANSPORT AND STORAGE SECTOR GROSS DOMESTIC PRODUCT (GDP), SHARE % OF GDP, INDIA, 2017 - 2022
- Figure 9:
- RANK OF LOGISTICS PERFORMANCE, RANK, INDIA, 2010 - 2023
- Figure 10:
- SHARE OF ROAD LENGTH BY SURFACE CATEGORY, %, INDIA, 2022
- Figure 11:
- SHARE OF ROAD LENGTH BY SURFACE CLASSIFICATION, %, INDIA, 2022
- Figure 12:
- VALUE OF EXPORTS, USD, INDIA, 2017 - 2022
- Figure 13:
- VALUE OF IMPORTS, USD, INDIA, 2017 - 2022
- Figure 14:
- FUEL PRICE BY TYPE OF FUEL, USD/LITER, INDIA, 2017 - 2022
- Figure 15:
- OPERATIONAL COSTS OF TRUCKING - BREAKDOWN BY OPERATING COST ELEMENT, %, INDIA, 2022
- Figure 16:
- TRUCKING FLEET SIZE BY TYPE, SHARE %, INDIA, 2022
- Figure 17:
- MARKET SHARE OF MAJOR TRUCK SUPPLIER BRANDS, SHARE %, INDIA, 2022
- Figure 18:
- FREIGHT HANDLED BY ROAD TRANSPORT, TONS, INDIA, 2017 - 2030
- Figure 19:
- PRICE TREND OF ROAD FREIGHT TRANSPORT SERVICE, USD/TON-KM, INDIA, 2017 - 2022
- Figure 20:
- MODAL SHARE OF FREIGHT TRANSPORTATION SECTOR, SHARE % BY TON-KM, INDIA, 2022
- Figure 21:
- MODAL SHARE OF FREIGHT TRANSPORT SECTOR, SHARE % BY TONS, INDIA, 2022
- Figure 22:
- WHOLESALE PRICE INFLATION RATE, %, INDIA, 2017 - 2022
- Figure 23:
- CONSUMER PRICE INFLATION RATE, %, INDIA, 2017 - 2022
- Figure 24:
- VOLUME OF ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 25:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 26:
- VOLUME OF ROAD FREIGHT TRANSPORT MARKET BY END USER INDUSTRY, TON-KM, INDIA, 2017 - 2030
- Figure 27:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY END USER INDUSTRY, USD, INDIA, 2017 - 2030
- Figure 28:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY END USER INDUSTRY, %, INDIA, 2017 - 2030
- Figure 29:
- VOLUME OF AFF INDUSTRY (AGRICULTURE, FISHING, AND FORESTRY) ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 30:
- VALUE OF AFF INDUSTRY (AGRICULTURE, FISHING, AND FORESTRY) ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 31:
- VALUE SHARE OF AFF INDUSTRY (AGRICULTURE, FISHING, AND FORESTRY) ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 32:
- VOLUME OF CONSTRUCTION INDUSTRY ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 33:
- VALUE OF CONSTRUCTION INDUSTRY ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 34:
- VALUE SHARE OF CONSTRUCTION INDUSTRY ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 35:
- VOLUME OF MANUFACTURING INDUSTRY ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 36:
- VALUE OF MANUFACTURING INDUSTRY ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 37:
- VALUE SHARE OF MANUFACTURING INDUSTRY ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 38:
- VOLUME OF EXTRACTION INDUSTRY (OIL AND GAS, MINING AND QUARRYING) ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 39:
- VALUE OF EXTRACTION INDUSTRY (OIL AND GAS, MINING AND QUARRYING) ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 40:
- VALUE SHARE OF EXTRACTION INDUSTRY ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 41:
- VOLUME OF DISTRIBUTIVE TRADE INDUSTRY (WHOLESALE AND RETAIL TRADE) ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 42:
- VALUE OF DISTRIBUTIVE TRADE INDUSTRY (WHOLESALE AND RETAIL TRADE) ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 43:
- VALUE SHARE OF WHOLESALE AND RETAIL TRADE INDUSTRY ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 44:
- VOLUME OF OTHER END USER INDUSTRIES ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 45:
- VALUE OF OTHER END USER INDUSTRIES ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 46:
- VALUE SHARE OF OTHER END USER INDUSTRIES ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2022 VS 2030
- Figure 47:
- VOLUME OF ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, TON-KM, INDIA, 2017 - 2030
- Figure 48:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, USD, INDIA, 2017 - 2030
- Figure 49:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY DESTINATION, %, INDIA, 2017 - 2030
- Figure 50:
- VOLUME OF DOMESTIC ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 51:
- VALUE OF DOMESTIC ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 52:
- VALUE SHARE OF DOMESTIC ROAD FREIGHT TRANSPORT MARKET BY END USER INDUSTRY, %, INDIA, 2022 VS 2030
- Figure 53:
- VOLUME OF INTERNATIONAL ROAD FREIGHT TRANSPORT MARKET, TON-KM, INDIA, 2017 - 2030
- Figure 54:
- VALUE OF INTERNATIONAL ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 55:
- VALUE SHARE OF INTERNATIONAL ROAD FREIGHT TRANSPORT MARKET BY END USER INDUSTRY, %, INDIA, 2022 VS 2030
- Figure 56:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY TRUCKLOAD SPECIFICATION, USD, INDIA, 2017 - 2030
- Figure 57:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY TRUCKLOAD SPECIFICATION, %, INDIA, 2017 - 2030
- Figure 58:
- VALUE OF FULL-TRUCK-LOAD (FTL) ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 59:
- CAGR OF FULL-TRUCK-LOAD (FTL) ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 60:
- VALUE OF LESS THAN-TRUCK-LOAD (LTL) ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 61:
- CAGR OF LESS THAN-TRUCK-LOAD (LTL) ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 62:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY CONTAINERIZATION, USD, INDIA, 2017 - 2030
- Figure 63:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY CONTAINERIZATION, %, INDIA, 2017 - 2030
- Figure 64:
- VALUE OF CONTAINERIZED ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 65:
- CAGR OF CONTAINERIZED ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 66:
- VALUE OF NON-CONTAINERIZED ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 67:
- CAGR OF NON-CONTAINERIZED ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 68:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY DISTANCE, USD, INDIA, 2017 - 2030
- Figure 69:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY DISTANCE, %, INDIA, 2017 - 2030
- Figure 70:
- VALUE OF LONG HAUL ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 71:
- CAGR OF LONG HAUL ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 72:
- VALUE OF SHORT HAUL ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 73:
- CAGR OF SHORT HAUL ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 74:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY GOODS CONFIGURATION, USD, INDIA, 2017 - 2030
- Figure 75:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY GOODS CONFIGURATION, %, INDIA, 2017 - 2030
- Figure 76:
- VALUE OF FLUID GOODS ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 77:
- CAGR OF FLUID GOODS ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 78:
- VALUE OF SOLID GOODS ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 79:
- CAGR OF SOLID GOODS ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 80:
- VALUE OF ROAD FREIGHT TRANSPORT MARKET BY TEMPERATURE CONTROL, USD, INDIA, 2017 - 2030
- Figure 81:
- VALUE SHARE OF ROAD FREIGHT TRANSPORT MARKET BY TEMPERATURE CONTROL, %, INDIA, 2017 - 2030
- Figure 82:
- VALUE OF NON-TEMPERATURE CONTROLLED ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 83:
- CAGR OF NON-TEMPERATURE CONTROLLED ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 84:
- VALUE OF TEMPERATURE CONTROLLED ROAD FREIGHT TRANSPORT MARKET, USD, INDIA, 2017 - 2030
- Figure 85:
- CAGR OF TEMPERATURE CONTROLLED ROAD FREIGHT TRANSPORT MARKET, %, INDIA, 2017 - 2030
- Figure 86:
- MOST ACTIVE COMPANIES BY NUMBER OF STRATEGIC MOVES, COUNT, INDIA, 2017 - 2023
- Figure 87:
- MOST ADOPTED STRATEGIES, COUNT, INDIA, 2017 - 2023
- Figure 88:
- VALUE SHARE OF MAJOR PLAYERS, %, INDIA
India Road Freight Transport Industry Segmentation
Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil and Gas, Mining and Quarrying, Wholesale and Retail Trade, Others are covered as segments by End User Industry. Domestic, International are covered as segments by Destination. Full-Truck-Load (FTL), Less than-Truck-Load (LTL) are covered as segments by Truckload Specification. Containerized, Non-Containerized are covered as segments by Containerization. Long Haul, Short Haul are covered as segments by Distance. Fluid Goods, Solid Goods are covered as segments by Goods Configuration. Non-Temperature Controlled, Temperature Controlled are covered as segments by Temperature Control.End User Industry | Agriculture, Fishing, and Forestry |
Construction | |
Manufacturing | |
Oil and Gas, Mining and Quarrying | |
Wholesale and Retail Trade | |
Others | |
Destination | Domestic |
International | |
Truckload Specification | Full-Truck-Load (FTL) |
Less than-Truck-Load (LTL) | |
Containerization | Containerized |
Non-Containerized | |
Distance | Long Haul |
Short Haul | |
Goods Configuration | Fluid Goods |
Solid Goods | |
Temperature Control | Non-Temperature Controlled |
Temperature Controlled |
Market Definition
- Agriculture, Fishing, and Forestry (AFF) - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the AFF industry players on road freight transport service. The end user players considered are the establishments primarily engaged in growing crops, raising animals, harvesting timber, harvesting fish & other animals from their natural habitats and providing related support activities. Herein, across the value chain, Logistics Service Providers (LSPs) play a crucial role in acquisition, storage, handling, transportation, and distribution activities for the optimal & continuous flow of inputs (seeds, pesticides, fertilizers, equipment, and water) from manufacturers or suppliers to the producers and smooth flow of output (produce, agro-goods) to distributors/ consumers. This includes both termperature controlled and non-temperature controlled logistics, as and when required according to the shelf life of goods being transported or stored.
- Construction - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the construction industry players, on road freight transport service. The end user players considered are the establishments primarily engaged in constructing, repairing and renovating residential & commercial buildings, infrastructure, engineering works, subdividing and developing land. Logistics Service Providers (LSPs) play a crucial role in increasing profitability of construction projects by maintaing the inventory of raw materials & equipment, time-critical supplies and by providing other value added services for effective project management.
- Containerized Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Full-Truck-Load (FTL) services. FTL road freight transport is characterized as a full single load not combined with other shipments. It comprises of shipments (i) devoted to the goods of a single shipper (ii) taken directly from a point of origin to one or more destination points (iii) comprising of bulk mail truck transportation (iv) comprising of both Container (Full Container Load, FCL)/Non-Container trucking services (v)comprsing of goods requiring temperature controlled or non-temperature controlled transportation services (vi) comprising of bulk liquid tankering (vii) invoving trucking of waste (viii) hazardous material trucking. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- Export Trends and Import Trends - Overall logistics performance of an economy is positively and significantly (statistically) correlated to its trade performance (exports and imports). Hence, in this industry trend, total value of trade, major commodities/ commodity groups and the major trade partners, for the studied geography (country or region as per the scope of report) have been analysed alongside the impact of major trade/logistics infrastructure investments & regulatory environment.
- Fluid Goods - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users for the transport of bulk liquids, that are often used in extraction, manufacturing, food processing, agriculture industries among others. It includes transportation of liquids like (i) Chemicals/ hazardous goods (for instance acids) (ii) Water (potable as well as waste) (iii) Oil and gas (upstream as well as downstream like gasoline, fuel, crude oil, or propane), (iv) Food grade bulk liquids (like milk, or juice), (v) Rubber, (vi) Agrichemical products, among others. These goods are generally transported through tanker trucking.
- Fuel Price - Fuel price spikes can cause delays and diruption for logistics service providers (LSPs), while drops in the same can result in higher short-term profitability and increased market rivalry to offer consumers with the best deals. Hence, the fuel price variations have been studied over the review period and presented along with the causes as well as market impacts.
- Full-Truck-Load (FTL) Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Full-Truck-Load (FTL) services. FTL road freight transport is characterized as a full single load not combined with other shipments. It comprises of shipments (i) devoted to the goods of a single shipper (ii) taken directly from a point of origin to one or more destination points (iii) comprising of bulk mail truck transportation (iv) comprising of both Container (Full Container Load, FCL)/Non-Container trucking services (v)comprsing of goods requiring temperature controlled or non-temperature controlled transportation services (vi) comprising of bulk liquid tankering (vii) invoving trucking of waste (viii) hazardous material trucking. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- GDP Distribution by Economic Activity - Nominal Gross Domestic Product and distribution of the same, across major economic sectors in the geography studied (country or region as per scope of the report) have been studied and presented in this industry trend. As GDP is positively related to the profitability and growth of logistics industry, this data has been used in adjunction to the input-output tables/ supply-use tables for analyzing the potential major contributing sectors towards the logistics demand.
- GDP Growth by Economic Activity - Growth of Nominal Gross Domestic Product across major economic sectors, for the geography studied (country or region as per scope of the report) have been presented in this industry trend. This data has been utilized for assessing the growth of logistics demand from all the market end users (economic sectors considered here).
- Inflation - Variations in both Wholesale Price Inflation (YoY change in producer price index) and Consumer Price Inflation have been presented in this industry trend. This data has been used to assess the inflationary environment as it plays a vital role in smooth functioning of the supply chain, directly impacting the logistics operational cost components e.g., pricing of tyres, driver wages & benefits, energy/fuel prices, maintenace costs, toll charges, warehousing rents, custom brokerage, forwarding rates, courier rates etc. hence impacting the overall freight and logistics market.
- Key Industry Trends - The report section named "Key Industry Trends" include all the key variables/parameters studied to better analyze the market size estimates and forecasts. All the trends have been presented in the form of data points (time series or latest available data points) along with analysis of the paramter in the form of concise market relevant commentary, for the geography studied (country or region as per the scope of report).
- Key Strategic Moves - The action taken by a company to differentiate from its competitor or used as a general strategy is referred to as a key strategic move (KSM). This includes (1) Agreements (2) Expansions (3) Financial Restructuring (4) Mergers and Acquisitions (5) Partnerships, and (6) Product Innovations. Key players (Logistics Service Providers, LSPs) in the market have been shortlisted, their KSM have been studied and presented in this section.
- Less than-Truck-Load (LTL) Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Less than-Truck-Load (LTL) services. LTL road freight transport is characterized as multiple shipments combined onto a single truck for multiple deliveries within a network. It comprises of establishments (i) primarily engaged in general and specialized freight trucking of less than complete truck-loads, (ii) characterized by the use of terminals to consolidate shipments, generally from several shippers, into a single truck for haulage between a load assembly terminal and a disassembly terminal, where the load is sorted and shipments are re-routed for delivery (iv) Less than-Container-Load (LCL) shipping/ Groupage Shipping in case of trucking services. The activities in scope include (i) local pick-up, (ii) line-haul, and (iii) local delivery. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- Logistics Performance - Logistics Performance and Logistics Costs are the backbone of trade, and influences trade costs, making countries compete globally. Logistics performance is influenced by market wide adopted supply chain management strategies, government services, investments & policies, fuel/ energy costs, inflationary environment etc. Hence, in this industry trend, the logistics performance of the geography studied (country/ region as per the scope of report) has been analysed and presented over the review period.
- Major Truck Suppliers - Market share of truck brands is influenced by factors like geographical preferences, portfolio of truck types, truck prices, local production, truck repair & maintenance service peneteration, customer support, technological innovations (like electric vehicles, digitalization, autonomous trucks), fuel efficiency, financing options, annual maintenance costs, availability of substitutes, marketing startegies etc. Hence, the distribution (share % for base year of the study) of truck sales volume for leading truck brands and commentary on current market scenario & market anticipation over the forecast period have been presented in this industry trend.
- Manufacturing - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the Manufacturing industry players, on road freight transport service. The end user players considered are the establishments primarily engaged in the chemical, mechanical or physical transformation of materials or substances into new products. Logistics Service Providers (LSPs) play a crucial role in maintaining a smooth flow of raw materials across the supply chain, enabling timely delivery of finished goods to distributors or end customers and storing & supplying the raw materials to clients for just-in-time manufacturing.
- Modal Share - Freight Modal Share is influenced by factors like modal productivity, government regulations, containerization, distance of shipment, temperature control requirements, type of goods, international trade, terrain, speed of delivery, shipment weight, bulk shipments, etc. Also, modal share by tonnage (tons) and modal share by freight turnover (ton-km) differ as per average distance of shipments, weight of major commodity groups transported in the economy and number of trips. This industry trend represents the distribution of freight transported by mode of transport (tons as well as ton-km), for the study base year.
- Oil and Gas, Mining and Quarrying - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the extraction industry players, on road freight transport service. The end user players considered are the establishments that extract naturally occurring mineral solids, such as coal and ores; liquid minerals, such as crude petroleum; and gases, such as natural gas. Logistics Service Providers (LSPs) covers entire phases from upstream to downstream and plays a crucial role in the transportation of machinery, drilling equipments, extracted minerals, crude oil & natural gas and refined/ processed products from one place to another.
- Other End Users - Other end user segment captures the external (outsourced) logistics expenditure incurred by the financial services (BFSI), real estate, educational services, healthcare, and professional services (administrative, waste management, legal, architectural, engineering, design, consulting, scientific R&D), on road freight transport service. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of supplies and documents to/from these industries such as transporting any equipment or resources required, shipping confidential documents and files, movement of medical goods & supplies (surgical supplies and instruments, including gloves, masks, syringes, equipment) to name a few.
- Producer Price Inflation - It indicates inflation from viewpoint of the producers viz. the average selling price received for their output over a period of time. Annual change (YoY) of producer price index is reported as wholesale price inflation in the "Inflation" industry trend. As WPI captures dynamic price movements in most comprehensive way, it is widely used by governments, banks, industry, business circles and is deemed important in formulation of trade, fiscal and other economic policies. The data has been used in adjunction to consumer price inflation for better understanding the inflationary environment.
- Road Freight Pricing Trends - Freight pricing by mode of transport (USD/tonkm), over the review period, has been presented in this industry trend. The data has been used in assessing the inflationary environment, impact on trade, freight turnover (tonkm), road freight transport market demand and hence the road freight transport market size.
- Road Freight Tonnage Trends - Freight tonnage (weight of goods in tons) handled by mode of transport, over the review period, has been presented in this industry trend. The data has been used as one of the parameters apart from average distance per shipment (km), freight volume (tonkm), and freight pricing (USD/tonkm) to assess the freight transport market size.
- Road Freight Transport - Hiring a road freight transport logistics service provider (LSP) or haulier (outsourced logistics), for the transport of commodities constitutes road freight transport market. The scope of study includes (i) road transport of goods reported by hauliers registered in the reporting countries (ii) transport of raw materials or manufactured goods (solids as well as fluids) (iii) transport using commerical motor vehicles (rigid trucks or tractor-trailers, (iv) Full-Truck-Load (FTL) or Less than-Truck-Load (LTL) transport (v) containerized or non-containerized transport (vi) temperature controlled or non-temperature controlled trasnport, (vii) short haul or long haul (Over-the-road, OTR) transport, (viii) used office or household goods transport (movers and packers), (ix) other specialized cargo transport (dangerous goods, oversized cargo) and (x) outsourced first mile/ middle mile/last mile delivery shipments undertaken by road freight transport players. The scope does not include (i) transport undertaken by hauliers registered in other countries (ii) last mile meal delivery market (iii) grocery delivery market (iv) transportation via road network undertaken/ reported by Courier, Express, and Parcel (CEP) players.
- Road Length - As infrastructure plays a vital role in an economy's logistics performance, variables like length of roads, distribution of road length by surface category (paved v/s unpaved), distribution of road length by road classification (expressways v/s highways v/s other roads), have been analysed and presented in this industry trend.
- Segmental Revenue - Segmental Revenue has been triangulated or computed and presented for all the major players in the market. It refers to the road freight transport market specific revenue earned by the company, over the base year of study, in the geography studied (country or region as per the scope of report). It is computed through the study and analysis of major parameters like financials, service portfolio, employee strength, fleet size, investments, number of countries present in, major economies of concern, etc. that have been reported by the company in its annual reports, webpage. For companies having scarce financial disclosures, paid databases like D&B Hoovers, Dow Jones Factiva have been resorted to and verified through industry/expert interactions.
- Short Haul Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on local trucking (less than 100 miles). It includes the road transport of goods (i) within a single administrative area and its hinterland, (ii) by smaller trucks and pickup trucks (iii) via containerized as well as dry bulk services (iv) intermodal from ports, container terminals or airports, and (v) outsourced first mile/ last mile delivery shipments undertaken by road freight transport players.
- Transport and Storage Sector GDP - Value and growth of Transport and Storage Sector GDP has a direct relation to the freight and logistics market size, and hence road freight transport market size. Therefore, this variable has been studied and presented over the review period, in value terms (USD) and as share % of total GDP, in this industry trend. The data has been supported by concise and relevant commentary around the investments, developments, and current market scenario.
- Trends in E-Commerce Industry - Enhanced internet connectivity and boom in smartphone penetration, coupled with increasing disposable incomes, has led to a phenomenal growth in the e-commerce market globally. Online shoppers require fast and efficient delivery of their orders leading to an increase in the demand for logistics services especially e-commerce fulfilment services. Hence, the Gross Merchandise Value (GMV), historial and projected growth, breakup of major commodity groups in e-commerce industry for the studied geography (country or region as per scope of the report) have been analysed and presented in this industry trend.
- Trends in Manufacturing Industry - Manufacturing industry involves the transformation of raw materials into finished products, while logistics industry ensures the efficient flow of raw materials to the factory, and the transport of manufactured products to the distributors & consumers. Demand-Supply of both industries are highly cross-linked and critical for a seamless supply chain. Hence, the Gross Value Added (GVA), breakup of GVA into major manufacturing sectors, and growth of manufacturing industry over the review period have been analysed and presented, in this industry trend.
- Trucking Fleet Size By Type - Market share of truck types is influenced by factors like geographical preferences, major end user industries, truck prices, local production, truck repair & maintenance service peneteration, customer support, technological disruptions (like electric vehicles, digitalization, autonomous trucks) etc. Hence, the distribution (share % for base year of study) of truck parc volume by type of truck, market disruptors, truck manufacturing investments, truck specifications, truck use & import regulations, and market anticipation over the forecast period have been presented in this industry trend.
- Trucking Operational Costs - The prime reasons for measuring/ benchmarking logistics performance of any trucking company are to reduce operational costs and increase profitability. On the other hand, measuring operational costs helps to identify whether and where to make operational changes to control expenses and identify areas for improved performance. Hence, in this industry trend, trucking operational costs and the variables involved viz. driver wages & benefits, fuel prices, repairs & maintenance costs, tyre costs etc. have been studied over the base year of study, and presented for the geography studied (country or region as per the scope of report).
- Wholesale and Retail Trade - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the wholesalers and retailers, on road freight transport service. The end user players considered are the establishments primarily engaged in wholesaling or retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of supplies to and finished products from production houses to the distributors and finally to the end customer covering activites like material sourcing, transportation, order fulfillment, warehousing & storage, demand forecasting, inventory management etc.
Keyword | Definition |
---|---|
Cabotage | Road transport by a motor vehicle registered in a country performed on the national territory of another country. |
Cross Docking | Cross docking is a logistics procedure where products from a supplier or manufacturing plant are distributed directly to a customer or retail chain with marginal to no handling or storage time. Cross docking takes place in a distribution docking terminal; usually consisting of trucks and dock doors on two (inbound and outbound) sides with minimal storage space. The name ‘cross docking’ explains the process of receiving products through an inbound dock and then transferring them across the dock to the outbound transportation dock. |
Cross Trade | International road transport between two different countries performed by a road motor vehicle registered in a third country. A third country is a country other than the country of loading/embarkation and than the country of unloading/disembarkation. |
Dangerous Goods | The classes of dangerous goods carried by Road are those defined by the fifteenth revised edition of the UN Recommendations on the Transport of Dangerous Goods, United Nations, Geneva 2007. They include Class 1: Explosives; Class 2: Gases; Class 3: Flammable Liquids; Class 4: Flammable solids- substances liable to spontaneous combustion; substances which, on contact with water, emit flammable gases; Class 5: Oxidizing substances and organic peroxides; Class 6: Toxic and infectious substances; Class 7: Radioactive material and Class 8: Corrosive substances, Class 9: Miscellaneous dangerous substances and articles. |
Direct Shipment | Direct shipment is a method of delivering goods from the supplier or the product owner to the customer directly. In most cases, the customer orders the goods from the product owner. This delivery scheme reduces transportation and storage costs, but requires additional planning and administration. |
Drayage | A drayage is a form of trucking service that connects the different modes of shipping (intermodal), such as ocean freight or air freight. It’s a short-haul trip that transports goods from one place to another, usually before or after its long-haul shipping process. Drayage trucks move cargo to and from various destinations, such as container ships, storage lots, order fulfillment warehouses, and rail yards. Typically, drayage only transports goods in short distances and operates only in one metropolitan area. It also requires only one trucker in a single shift. But despite this, but it plays an important role in long-haul shipping because it gets the goods to the cargo and vice versa. It makes intermodal transport much more efficient and enables the seamless transfer of goods to the end customer. |
Dry van | A dry van is a type of semi-trailer that's fully enclosed to protect shipments from outside elements. Designed to carry palletized, boxed or loose freight, dry vans aren't temperature-controlled (unlike refrigerated “reefer” units) and can't carry oversized shipments (unlike flatbed trailers). |
Final Demand | Final demand includes all types of commodities (goods as well as services) consumed as final use and might include personal consumption, or consumption by government, by businesses as capital investment, and as exports. includes all types of commodities (goods as well as services) consumed as final use and might include personal consumption, or consumption by government, by businesses as capital investment, and as exports. |
Flatbed Truck | A flatbed truck is a type of truck with rigid design. It has a back body that is flatly shaped for easy loading and unloading of goods. The flatbed truck is mostly used to transport heavy, oversized, wide and indelicate goods such as machinery, building supplies or equipment. Due to the truck open body, the goods transported with it must not be vulnerable to rain. By functionality, the flatbed truck is comparable to a flatbed trailer. |
Inbound Logistics | Inbound logistics is the way materials and other goods are brought into a company. This process includes the steps to order, receive, store, transport and manage incoming supplies. Inbound logistics focuses on the supply part of the supply-demand equation. |
Intermediate Demand | Intermediate demand includes goods, services, and maintenance and repair construction sold to businesses, excluding capital investment. |
International Loaded | Place of loading of goods in reporting country (i.e., country in which the vehicle performing the transport is registered) and place of unloading in a different country. |
International Unloaded | Place of unloading of goods in reporting country (i.e., country in which the vehicle performing the transport is registered) and place of loading in a different country. |
OOG cargo | Out of Gauge (OOG) cargo is any cargo that can not be loaded into six-sided shipping containers simply because it is too large. The term is a very loose classification of all cargo with dimensions beyond the maximum 40HC container dimensions. That is a length beyond 12.05 meters – a width beyond 2.33 meters – or a height beyond 2.59 meters. |
Pallets | Raised platform, intended to facilitate the lifting and stacking of goods. |
Part load | A part load describes goods which only fills a truck partially. In essence, the quantity of the shipment is bigger than the Less Than Truckload (LTL) shipment. Also, the shipment cannot fully occupy a truck i.e. its capacity is much lower than a Full Truckload (FTL) shipment. |
Paved Road | Road surfaced with crushed stone (macadam) with hydrocarbon binder or bituminized agents, with concrete or with cobblestone. |
Reverse Logistics | Reverse logistics comprises of the sector of supply chains that process anything returning inwards through the supply chain or traveling ‘backward’ through the supply chain. |
Road Freight Transport Service | Hiring a trucking agency for transport of commodities (raw materials or manufactured goods including both solids and liquids) form the origin to a destination within the country (domestic) or cross-border (international) constitutes road freight transport market. The service might be Full-Truck-Load or Less than-Truck-Load, containerized or non-containerized, temperature controlled or non temperature controlled, short haul or long haul. |
Tautliner vehicle | Tautliner and curtainsider are used as generic names for curtain sided trucks/trailers. The curtains are permanently fixed to a runner at the top and detachable rails/poles at front and rear, allowing the curtains to be drawn open and forklifts used all along the sides for easy and efficient loading and unloading. When closed for travel, vertical load restraint straps are attached to a rope rail beneath the truck bed, connecting the truck bed and curtain along both sides. Winches at either end of the curtain tension it, hence the 'Tautliner' name. This stops the curtain from flapping or drumming in the wind and can also help retain light loads from slipping sideways. |
Transport for hire or reward | The carriage for remuneration of goods. |
Unpaved Road | Road with a stabilized base not surfaced with crushed stone, hydrocarbon binder or bituminized agents, concrete or cobblestone. |
Research Methodology
Mordor Intelligence follows a four-step methodology in all our reports.
- Step-1: Identify Key Variables: In order to build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built on the basis of these variables.
- Step-2: Build a Market Model: Market-size estimations for the forecast years are in nominal terms. Inflation is considered to be a part of the pricing, and the average selling price (ASP) is varying throughout the forecast period for each country
- Step-3: Validate and Finalize: In this important step, all market numbers, variables and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
- Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms